COMPANY OVERVIEWFounded in 1938 in Portland, Oregon, as a small, family-owned, regional hat distributor and incorporated in 1961, Columbia Sportswear Company has grown to become a global leader in the design, sourcing, marketing, and distribution of active outdoor apparel, footwear, accessories and equipment.

Columbia Sportswear (referred to hereafter as Columbia) designs, develops, markets and distributes active outdoor apparel, footwear, accessories and equipment under Columbia, Mountain Hardwear, Sorel, OutDry, Pacific Trail and Montrail brand names. Columbia is one of the largest outdoor apparel and footwear companies in the world and their products have earned an international reputation for innovation, quality and performance.

Columbia is well diversified both geographically as well as in terms of the product categories it offers. The company maintains its operations in the US, Europe, the Middle East and Africa (EMEA), Latin America and Asia Pacific (LAAP), and Canada. In 2011, the company operated 43 outlets retail stores and 8 branded retail stores in the U.S., 7 outlet retail stores and 3 branded retail stores in Europe, 2 outlet retail stores in Canada, 40 branded retail stores in Japan and 13 outlet retail stores in Korea.

Columbia is headquartered in Portland, Oregon and employs about 3,626 people. The company expanded its e-commerce (has been implemented in all of its other geographical subsidiaries) operations across Europe in fall 2011. Its European launch includes the UK, Germany, France, Italy, Netherlands, Belgium, Austria, and Spain. OPERATIONS

Columbia does not own or operate manufacturing facilities and virtually all of their products are manufactured to the company’s specifications by independent factories located across the world. The strategy enables the company to substantially lower their capital expenditures and avoid the risks and costs associated with operating large production plants and labor forces. It maximizes the company’s flexibility in terms of managing their world-wide supply chain. However, it doesn’t not assure adequate or timely production capacity.

With over 13 manufacturing liaison offices in a total of seven Asian countries and several in North America, personnel in these offices are considered direct employees of Columbia, and are responsible for overseeing production at the various independent factories across the world. Besides overseeing independent production, a significant amount of man power is committed to expanding the global reach of the firm. Over the last year, Columbia has made strategic operational investments to support its growth. The company expanded its retail store base and increased its annual marketing investment transitioned to predominantly in-house sales teams in North America and Europe. BREAKDOWN OF SALES

Columbia has balanced revenue mix in terms of revenue generated from various geographical locations. For 2011, the United States accounted for 56% of net sales, The LAAP region accounting for 20.1% of net sales, EMEA region accounting for 16.3% of net sales, and Canada...

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